Akamai Technologies Inc (AKAM, Financial), a leading player in the software industry, is currently trading at $103.2 with a market capitalization of $15.71 billion. The company's stock price has seen a gain of 8.69% today and a significant increase of 14.99% over the past four weeks. The GF Score of Akamai Technologies Inc stands at an impressive 96 out of 100, indicating its high outperformance potential. The GF Score is a comprehensive stock performance ranking system developed by GuruFocus, which is closely correlated with the long-term performance of stocks.
Financial Strength Analysis
Akamai Technologies Inc has a Financial Strength Rank of 6 out of 10. This score is based on factors such as interest coverage of 60.62, a debt to revenue ratio of 0.89, and an Altman Z-Score of 3.33. These figures indicate a strong financial situation for the company.
Profitability Rank Analysis
The company's Profitability Rank is 9 out of 10, reflecting its high profitability. This score is based on an operating margin of 19.47%, a Piotroski F-Score of 6, a 5-year average operating margin trend of 7.20%, and a consistency of profitability for the past 10 years. The company also has a predictability rank of 4, indicating a stable and predictable business model.
Growth Rank Analysis
Akamai Technologies Inc has a perfect Growth Rank of 10 out of 10, reflecting its strong growth in terms of revenue and profitability. This score is based on a 5-year revenue growth rate of 9.30%, a 3-year revenue growth rate of 8.60%, and a 5-year EBITDA growth rate of 15.20%.
GF Value Rank Analysis
The company's GF Value Rank is 10 out of 10, indicating that the stock is fairly valued. This rank is determined by the price-to-GF-Value ratio, a proprietary metric calculated based on historical multiples and an adjustment factor based on the company's past returns and growth.
Momentum Rank Analysis
Akamai Technologies Inc has a Momentum Rank of 8 out of 10, reflecting its strong price performance. This rank is determined using the standardized momentum ratio and other momentum indicators.
Competitor Analysis
When compared to its competitors in the software industry, Akamai Technologies Inc stands out with its high GF Score. Samsara Inc (IOT, Financial) has a GF Score of 17, Check Point Software Technologies Ltd (CHKP, Financial) has a GF Score of 99, and Gen Digital Inc (GEN, Financial) has a GF Score of 78. This comparison can be found on the competitors page.
In conclusion, Akamai Technologies Inc's high GF Score, strong financial strength, high profitability, and impressive growth make it a promising investment. However, as with any investment, potential investors should conduct their own research and consider the company's GF Value Rank and Momentum Rank before making a decision.
